US Treasury Fines Bank of America More Than $1.21 Billion Over Money Laundering and Sanctions Breaches, Including Iran Programmes

The US Treasury Department said on Tuesday, October 13, 2026 that it has imposed more than $1.21 billion in penalties on Bank of America, the second-largest US bank, for breaching anti-money laundering and sanctions rules. Treasury described the package as including the third-largest penalty in the department’s history.

The Financial Crimes Enforcement Network assessed $1.2 billion, citing the bank’s failure to mitigate and report national security risks, including Chinese money laundering networks. Treasury says the bank did not report more than $5 billion in suspicious transactions on time. The Office of the Comptroller of the Currency set a $750 million fine, the largest in its history; the FinCEN figure includes credit for it.

The Office of Foreign Assets Control also agreed an $11.6 million settlement over 475 apparent violations of sanctions programmes, including those covering Iran, Russia, narcotics and global terrorism. Bank of America said it has invested billions of dollars in technology and staff to combat financial crime and is working to address the regulators’ concerns.